New York takes more than $1.9bn in sports bets in record-breaking first 30 days

New York sportsbooks took more than $1.9bn in bets from Empire State bettors during the first 30 days of the licensed market, New York governor Kathy Hochul has confirmed.

Since launching on January 8, New York-licensed sportsbooks have generated more than $138m in gross gambling revenue, figures which have yielded $70.6m to New York’s state coffers in taxation revenue.

Wagers included over $600m on American football, over $540m on basketball and almost $80m taken in hockey-led betting over the 30-day period.

According to data from Geolocation specialists GeoComply, released by the New York governor’s office as part of the report, more than 1.76 million unique player accounts have been used on 187 million betting transactions taking place in the state over the month.

New York State has one of the highest taxation rates for regulated sports betting in the US, imposing a 51% tax rate on all licensed sportsbook operations.

The governor’s office has confirmed 98% of the Empire State’s taxation revenue will fund education related causes, with 1% funding sports programs, and 1% funding problem gambling education and treatment respectively during New York’s fiscal year 2022.

All fees relating to licensing will be utilised in education-related initiatives.

Releasing its projections for fiscal year 2023 under its executive budget financial plan, the New York Governor’s office has estimated an influx of $249m in total revenue from state licensed operators, inclusive of $200m in already collected license fees from FY 2022.

According to state estimates, total revenue related to sports betting collected by Empire State authorities could rise as high as $465m by 2024.

This figure is estimated to increase even further in the following three fiscal years, amounting to $493m in FY 2025, $509m in FY 2026, and $518m in FY 2027.

With effect from the 2023 fiscal year, more than $6m will be directed to programs addressing problem gambling, $5m will be directed to youth sports grant programs statewide, and the remaining amount will be directed to education.

“Over the past month, we’ve seen how mobile sports wagering can be an economic engine for New York, driving significant funding to our schools, youth sports, and so much more,” Governor Hochul said.

“As this new industry continues to grow, New York will make sure we have the resources and guidelines in place to make it a success for all,” she added.

New York State Gaming Commission executive director Robert Williams welcomed the hugely successful start for New York’s sports betting market as an indicator of “strong interest” in the vertical by bettors.

These comments were echoed by New York State Senator Joseph Addabbo Jr., who highlighted the interest as a vindication of New York’s push to legalize sports betting, despite its rocky start and higher than expected tax rate.

“When we brought mobile sports betting to New York, we had confidence it was going to be a success, but to be able to break the national record of total handle for sports betting in a single month in our very first month, with primarily only six sportsbooks, is both rewarding and promising,” Addabbo Jr. said.

“Breaking this record proves that New York was ready for mobile sports betting and we are providing our state with a new significant revenue, educational and addiction funding source.

“It also can give us an indication of where we go from here, building upon a solid foundation especially with the Super Bowl and March Madness within our sights. The future is extremely bright for mobile sports betting in New York!” he added.